U.S. Defense Secretary Pete Hegseth urged Asia-Pacific allies to spend at least 3.5% [1] of their GDP on defense during a security forum on Saturday.
This push for increased spending comes as the U.S. seeks to prevent China from achieving regional dominance through its expanding military capabilities. By shifting more of the financial burden to local partners, the U.S. aims to establish a more sustainable and credible balance of power in the Indo-Pacific.
Speaking at the Shangri-La Dialogue in Singapore on May 30 [2], Hegseth focused on the necessity of burden-sharing among allies. He said, "We need our partners to invest at least 3.5% [1] of GDP in defence to ensure a credible balance of power in the Indo-Pacific."
While the Defense Secretary pressed for higher spending across the region, he praised certain nations for their current contributions. He specifically highlighted the role of the host nation, noting that Singapore consistently punches above its weight by investing heavily in its military. Hegseth said the city-state serves as a vital hub for U.S. logistics activities, and rotational deployments.
The remarks signal a firm stance on regional security as tensions persist over China's military growth. Hegseth said Washington remains committed to the region and to the security of its allies.
The demand for a 3.5% [1] GDP floor represents a significant increase over previous informal benchmarks. This requirement is intended to ensure that allies are not only relying on U.S. protection but are actively maintaining their own deterrent capabilities, a move the Pentagon views as essential for regional stability.
“"We need our partners to invest at least 3.5% of GDP in defence to ensure a credible balance of power in the Indo-Pacific."”
The request for a specific 3.5% GDP spending target marks a transition from general encouragement of 'burden-sharing' to a concrete financial expectation. By tying security guarantees to a numerical benchmark, the U.S. is leveraging its role as a security provider to compel allies to modernize their militaries, effectively creating a regional financial coalition to offset China's military expansion.
